An option is a contract that allows the buyer to buy or sell shares of stock at an agreed-upon price. Investors can get outsized returns by using options instead of simply owning stocks. Be forewarned ...

An option gives traders the right, but not the obligation, to trade the underlying asset that it is linked to. Whether the underlying asset moves up or down in value, an options straddle is a trading ...

An options strangle is a strategy to profit from price swings in either direction of an underlying asset. How does an options strangle work and what are the risks and rewards involved? Benzinga ...

Put options are a type of option that increases in value as a stock falls. A put allows the owner to lock in a predetermined price to sell a specific stock, while put sellers agree to buy the stock at ...

For investors who want to generate income from options – and create opportunities to buy stocks at discounted prices – the ...

Options are versatile financial instruments that offer traders and investors a unique way to engage with the markets. Whether you're looking to amplify gains, hedge against potential losses, or ...

What Is a Stock Option? A stock option is a contract giving its holder the right, but not the obligation, to buy or sell a stock at a given price before a specific date. There are two main types of ...

Options are among the most misunderstood investments, as many investors aren't familiar with even the most basic elements of how options work. Many people mistakenly assume that options are risky, ...

One common way to help increase investment returns is to use deep in the money call options. These options have strike prices much lower than the current market price of the asset, giving them high ...

Employers offer many forms of compensation besides cash, with employee stock options being a popular choice. Instead of issuing shares directly, employee stock options allow workers to purchase shares ...

Welcome to the world of put options, where experienced investors unlock opportunities beyond simply buying and selling stocks and exchange-traded funds. In this comprehensive guide, we'll explain the ...

How your employee stock options are taxed depends on the option type. Some defer taxes until you sell; others are taxable sooner. Many, or all, of the products featured on this page are from our ...